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H1. Res. 6236, 2024 Bibler MOU Park Development-afN%N CITY OF City of Kalispell 201 1" Ave E. P.O. Box 1997 KALISPELL Kalispell, Montana 59903-1997 (406) 758-7000 Fax (406)7757 REPORT TO: Mayor Johnson and Kalispell City Council FROM: Doug Russell, City Manager SUBJECT: MOU- Park Development Partnership MEETING DATE: December 16. 2024 BACKGROUND: In May of this year, Council received a presentation on a development concept for vacant parcels at the West end of the Parkline Trail. The presentation included a vision for a park development on privately owned land and the concept for incorporating a parcel of land that the city is in the process of acquiring (currently scheduled for closing on or before February 21, 2025). Council agreed to acquire this parcel with a buy/sell agreement in 2023. This parcel was approved for acquisition under the Westside Urban Renewal Area as it fits with the Plan's strategies for "providing sufficient parkland/open space to meet the needs of the surrounding neighborhood." Following the presentation in May, Council provided direction to move forward with this concept. One of the steps in moving forward has been establishing an initial memorandum of understanding for the planning of improvements on these parcels with the expectation that these sites will be developed for public park purposes, identifying maintenance responsibilities and potential funding obligations. This MOU is attached for consideration and provides the framework for the partnership and establishes the foundation for future agreements/approvals that are anticipated as the project progresses. Additionally, the concept that was presented in May is attached to this memo, along with a map of the parcels. RECOMMENDATION: It is recommended that the City Council approve Resolution 6236 authorizing the City Manager to enter into the Memorandum of Understanding with the Bibler Legacy foundation for a public park development project. ATTACHMENTS: Resolution 96236 Memorandum of Understanding Map of Parcels Park Concept Plan RESOLUTION NO. 6236 A RESOLUTION AUTHORIZING THE CITY MANAGER TO SIGN THE MEMORANDUM OF UNDERSTANDING WITH THE BIBLER LEGACY FOUNDATION FOR A PUBLIC PARK DEVELOPMENT PROJECT. WHEREAS, in May, 2023, Council entered into a Buy/Sell Agreement with BNSF Railroad for a parcel of land at the west end of the Parkline Trail called the Wye Property; and WHEREAS, in May, 2024, the Bibler Legacy Foundation, which owns three parcels of the adjoining properties, presented a concept design to council to develop the entire property into a public park and trail system; and WHEREAS, council was agreeable to the presentation and requested staff move forward with a Memorandum of Understanding regarding the concept; and WHEREAS, the Memorandum of Understanding would establish the planning of improvements on these parcels with the expectation that these sites will be developed for public park purposes, identifying maintenance responsibilities and potential funding obligations. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF KALISPELL AS FOLLOWS: SECTION 1. The City Manager is hereby authorized to execute the attached Memorandum of Understanding between the Bibler Legacy Foundation and the City of Kalispell for a public park development project. PASSED AND APPROVED BY THE CITY COUNCIL AND SIGNED BY THE MAYOR OF THE CITY OF KALISPELL, THIS 16TH DAY OF DECEMBER, 2024. Mark Johnson Mayor ATTEST: Aimee Brunckhorst, CMC City Clerk THIS MEMORANDUM OF UNDERSTANDING is entered into this _ day of December, 2024, between the CITY OF KALISPELL, a Montana municipal corporation, hereinafter referred to as the "CITY", which address is 201 I't Ave. E, Kalispell, MT 59901 and BIBLER LEGACY FOUNDATION, INC., a Montana domestic nonprofit corporation, hereinafter referred to as `BIBLER"; which address is P.O. Box 1195, Kalispell, Montana. RECITALS 1. BIBLER is the owner of certain real property located at 1510 2r`d Street West, Kalispell, Montana and legally described as set forth in Exhibits "A" and "B", attached hereto and fully incorporated herein by this reference, comprised of approximately 21.565 acres which BIBLER intends to develop into a public park in cooperation with the City. 2. The CITY is negotiating with Burlington Northern Santa Fe Railroad (`BNSF") for the purchase of real property legally described as set forth in Exhibit "C", attached hereto and fully incorporated herein by this reference, consisting of approximately 14.69 acres of railway right-of-way and open unimproved land abutting the real property described in Exhibits A and B ("Property C"). In cooperation with BIBLER, the CITY intends to develop Property C into a trail system connecting the Kalispell Parkline trail and the public park to be situated on Properties A, B, and/or C. 3. BIBLER and the CITY are desirous of developing a public -private joint venture to plan, develop, finance, operate and maintain a public park and trail system situated on Properties A, B, and C. NOW THEREFORE, the parties agree as follows: 1. Purpose. The purpose of this Agreement is to define the public -private partnership between the CITY and BIBLER regarding the planning, development, financing, operation, and maintenance of Properties A, B, and C as a public park and trail system ("Project"). Both parties are committed to the development of park and recreation facilities that will provide opportunities for the public to enjoy rest and recreation in a maintained outdoor public venue. The parties agree to work toward this objective in a manner that permits quality development of the Project under the terms defined herein of the rights and duties of each. 2. Term. This Agreement shall be effective the day and year first above written and shall continue for a period of TWENTY (20) years, unless sooner terminated by written agreement of the parties or upon transfer to and acceptance by the City of Kalispell of Memorandum of Understanding City of Kalispell and Bibler Resources Company Pagel Properties A and B. 3. Property C Acquisition CITY is in the process of purchasing Property C which the CITY intends to own -fee simple. 4. Grant of Use. CITY agrees to allow BIBLER use of unimproved portions of land within Property C for development of the Project as soon as it is acquired by CITY. 5. Stormwater. CITY reserves the right to continue to access and maintain public storm facilities located within portions of Property C or an alternate location if the facility needs to be relocated as part of the development of the Project. 6. Consultation. The CITY and BIBLER agree that they shall consult with one another to plan and develop Properties A, B and C as a single and unified public park and trail system to serve the needs of the public. 7. Development Responsibilities. It is the intent of the parties that BIBLER will provide for the development of the public park and the CITY will provide for the development of the trail system, as resources allow, within the portion of Property C which would be in place of the current railbed. The parties recognize that a high level of collaboration between the parties will be required to fully develop and maintain the Project. Throughout the term of this Agreement, the CITY and BIBLER will meet for the purpose of deciding each party's development and maintenance responsibilities. At a minimum, representatives of the CITY and BIBLER will meet at least four times annually for the purpose of conferring about the planning and development of the Project and this MOU. 8. Insurance. BIBLER agrees that it will maintain Commercial General Liability Insurance for bodily injury and property damage in amounts not less than $1 million per occurrence or less than $2 million aggregate covering its construction activities which names the CITY as a covered party. Contractors performing development activities on the Project at the request of either party must also maintain general liability insurance coverage consistent with the CITY's required standards, naming both parties as insureds, as well as workers compensation coverage on. its employees consistent with State law. 9. Indemnification. To the fullest extent permitted by law, each party to this MOU shall fully indemnify, defend, and save the other party to this MOU, their agents, representatives, employees, and officers harmless from and against any and all claims, actions, costs, fees, losses, liabilities or damages of whatever kind or nature arising from or related to the indemnifying party's performance in their duties and obligations as required under this MOU. Memorandum of Understanding City of Kalispell and Bibler Resources Company Page 12 10. Modification. This MOU may be modified by the parties by a written document signed by authorized representatives of the CITY and BIBLER. II.Mediation; Termination. In the event either party fails to perform its obligations under this MOU, the other party may give written notification of the default in writing. The parties shall meet and confer with the intent of resolving the default, but in the event the default is not cured, or reasonable efforts are not underway to correct the default (in the opinion of either party), the dispute shall be submitted to mediation. The parties may mutually agree to terminate this MOU in writing at anytime. 12. Intent of Future Donation. It is currently the intent of BIBLER to transfer its ownership in Property A and B to the CITY at some future date after the Project has been fully developed along with a system/plan for the maintenance into the future. The parties agree that they intend to jointly propose to City Council that Properties A, B, and C be annexed into the CITY and receive the land use designation as parkland only. However, BIBLER is not, by this MOU, committing to any such transfer of ownership and the CITY will make no such demand or commitment to ownership. 13. Transfers of Property. In the event BIBLER agrees to a transfer of, and the CITY agrees to accept, all or portions of Property A and/or Property B to CITY after the development of the respective parcels and a mutually agreed upon plan for maintenance and the funding thereof related to all parcels covered in this MOU, CITY shall accept such conveyances subject to the following conditions: a. CITY will accept title to the real property subject to the Exceptions to Title which are set forth in the title insurance policies to be obtained. b. The Deed which conveys the property to CITY shall be subject to a right of reverter or reversionary interest only if CITY fails to maintain or repair the park property, including all improvements thereon, or discontinues use of the property as a park subject to park rules as adopted by City Council, and BIBLER provides written notice to the CITY and CITY fails to cure any failure of maintenance, repair, or park use within 90 days of said notice, title to said property shall revert to BIBLER, or its successors, assigns, or designees. c. BIBLER may provide funding to CITY to be used in maintaining the park -at the time of property transfers to CITY. In that event, the CITY shall segregate said funds from CITY's general fund to ensure that the funds are solely used for purposes of maintaining the respective Properties for park purposes. The CITY reserves the right to not accept ownership of Properties A and/or B if the funding to be used in maintaining the park, including all improvements thereon, is not sufficient to meet the expectations of both parties. Memorandum of Understanding City of Kalispell and Biblcr Resources Company Page 13 IN WITNESS WHEREOF, the parties have executed this MOU the day and year first above written. CITY OF KALISPELL Doug Russell City Manager BIBLER LEGACY FOUNDATION, INC. By: Si pso President Memorandum of Understanding City of Kalispell and Bibler Resources Company Page 14 EXH1BIT A Parcel 1: Tract 3 of Certificate of Survey No. 19233, situated in Section 13, Township 28 North, Range 22 West, according to the map or plat thereof on file and of record in the office of the Flathead County Clerk and Recorder. Parcel 2: Tract 2 of Certificate of Survey No. 19545, situated in Section 13, Township 28 North, Range 22 West, according to the map or plat thereof on file and of record in the office of the Flathead County Clerk and Recorder. Parcel 3: Tract 1 of Certificate of Survey No. 19582, situated in Section 13, Township 28 North, Range 22 West, according to the map or plat thereof on file and of record in the office of the Flathead County Clerk and Recorder. C Tract 2 of Certificate of Survey No. 19582, situated in Section 13, Township 28 North, Range 22 West, according to the map or plat thereof on file and of record in the office of the Flathead County Clerk and Recorder. EXHIBIT C TRACT 1 A PARCEL OF LAND CONTAINING FIVE PARCELS OF LAND AS DESCRIBED N BOOK 200, PAGE 198; PARCEL 2 OF COS No. 18486; BOOK 35, PAGE 560; BOOK 35, PAGE 561; BOOK 35, PAGE 562 AND BOOK 35, PAGE 559 LOCATED IN NE114 AND NE114SE114 OF SECTION 13, T. 28 N., R. 22 W. P.M. MONTANA, FLATHEAD COUNTY, DESCRIBED AS FOLLOWS: COMMENCING FROM THE NE CORNER OF SAID SECTION 13; THENCE S01 °01'39"W, 46.95 FEET ALONG THE EAST LINE OF SAID SECTION 13 TO THE NORTHERLY LINE OF BNSF RIGHT-OF-WAY; THENCE S76°03'07"W, 31.05 FEET ALONG THE NORTHERLY LINE OF BNSF RIGHT-OF-WAY LINE TO THE WEST LINE OF SOUTH MERIDIAN ROAD BEING THE PONT OF BEGINNING: THENCE S01'01'39"W, 103.52 FEET ALONG THE WEST LINE SAID SOUTH MERIDIAN ROAD TO THE SOUTHERLY LINE OF BNSF RIGHT-OF-WAY; THENCE S76°03'07"W, 358.82 FEET ALONG THE SOUTHERLY LINE OF BNSF RIGHT-OF-WAY LINE; THENCE ALONG A TANGENT CURVE TO THE LEFT HAVING A RADIUS OF 713.95 FEET, ARC LENGTH OF 1077.54 FEET, DELTA ANGLE OF 86°28'28", CHORD BEARING OF S32048'53"W AND CHORD DISTANCE OF 978.14 FEET ALONG THE EASTERLY LINE OF BNSF RIGHT-OF-WAY; THENCE S10°25'21 "E, 2366.04 FEET ALONG THE EASTERLY LINE BNSF RIGHT-OF- WAY TO THE NORTHWESTERLY RIGHT-OF-WAY LINE OF FOYS LAKE ROAD; THENCE S32°51'23"W, 145.87 FEET ALONG THE NORTHWESTERLY RIGHT-OF-WAY LINE OF SAID FOYS LAKE ROAD TO THE WESTERLY LINE OF BNSF RIGHT-OF-WAY; THENCE N10°25'21"W, 2472.24 FEET ALONG THE WESTERLY LINE OF BNSF RIGHT-OF-WAY; THENCE ALONG A TANGENT CURVE TO THE RIGHT HAVING A RADIUS OF 813.95 FEET, ARC LENGTH OF 180.90 FEET; DELTA ANGLE OF 12-44-02", CHORD BEARING OF N04°03'20"W AND CHORD DISTANCE OF 180.53 FEET ALONG THE WESTERLY BNSF RIGHT-OF-WAY LINE; THENCE ALONG A NON -TANGENT COMPOUND CURVE TO THE LEFT HAVING A RADIUS OF 548.69 FEET; ARC LENGTH OF 662.93 FEET, DELTA ANGLE OF 69013'33", CHORD BEARING OF N52°42'34"W AND CHORD DISTANCE OF 623.34 FEET ALONG THE SOUTHWESTERLY LINE OF BNSF RIGHT-OF-WAY; THENCE S76°03'07"W, 319.97 FEET ALONG THE SOUTHERLY LINE OF BNSF RIGHT-OF-WAY TO THE SOUTHWEST CORNER OF SAID PARCEL 2; THENCE N13°56'53"W, 100.00 FEET ALONG THE WEST LINE OF SAID PARCEL 2 TO THE NW CORNER OF SAID PARCEL 2; THENCE N76°03'07"E, 1877.19 FEET ALONG THE NORTHERLY LINE OF BNSF RIGHT-OF-WAY TO THE POINT OF BEGINNING OF SAID PARCEL CONTAINING 14.69 ACRES. .a, d - .., { 30 �* r, I da � W m. • W 0 41 4-0 u %4- CL tn w 0. 0 .4.0 UOL -I —M,U -o 4-1 C-4 a) W c 0 W m a) >% a) c = 4-J 0 u tn L_ 4a 4- M L_ 0 U 0 x 0 4 0 > 0 tn CL o OL u 0 W Z o 4- 4.0 Yi 41 -C tn m _0 CD in u .— 0 8- D_ E 0 o u tn tn u LL u --se CD R in Ln tn 0 4- u CD u U 4-1 W t7 ' 0 C . 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